Policy Outlook—How Could the Trump Administration’s Drug Reimbursement Proposals Affect Medical Innovation?

In his State of the Union address, President Trump called on Congress to “do more” to lower drug costs in the United States.
Already, the U.S. Department of Health and Human Services (HHS) has proposed piloting an International Pricing Index payment model, tying costs for drugs under Medicare Part B to the lower rates paid in European benchmark countries with socialized medicine. They have moved to lower government costs for drug spending by empowering PBMs and middlemen to dramatica